Silver Mountain Grants Incentive Stock Options

CALGARY, ALBERTA--(Marketwire - Aug. 2, 2012) - Silver Mountain Mines Inc. (SMM.V) ("Silver Mountain" or the "Company") announces that, pursuant to its Incentive Stock Option Plan, it has granted incentive stock options to certain officers, directors, employees and consultants of the Company to purchase up to an aggregate of 1,990,000 common shares in the capital stock of the Company.

The options vest over a one year period and are exercisable for a period of five years from the grant date with an exercise price of $0.10.

About Silver Mountain Mines Inc. (SMM.V)

Silver Mountain Mines Inc. is a Canadian based exploration and development company with 100% ownership of a 9,200 ha property centered on the historical silver rich Ptarmigan Mine in south eastern, BC. The property hosts two styles of mineralization: silver rich, high-grade polymetallic epithermal veins and manto style massive / semi-massive sulphide mineralization.

For further information on Silver Mountain Mines Inc. please visit the Company's website www.silvermountainmines.com and SEDAR (www.sedar.com).

ON BEHALF OF THE BOARD

Steve Konopelky, President and CEO

Neither the TSX-Venture Exchange nor its Regulation Services Provider, as per the term defined in the policies of the TSX Venture Exchange, accepts responsibility for the adequacy or accuracy of the release.